Financial Support for Business during coronavirus (Covid-19)

Practical Accountancy with Allchurch & Co

We hope you are all keeping well during this challenging time. At Allchurch & Co we are feeling very grateful for our family’s health and the new arrival of Ellie’s son Arthur Thomas Gallagher. However, we are very aware the financial strain the global pandemic we are facing is putting on businesses and wanted to ensure that you are aware of the support available during this difficult time.

We advise all our clients to frequently check the gov.uk website which is constantly updated with the latest guidance and support. It also now includes a ‘business support finder’ which helps check what support is available specifically to you. We are aware that some businesses are not getting the support they need but are doing our best to review the latest announcements as things have been changing frequently.

Paying your employees – The Coronavirus Job Retention Scheme has been available since March and has been extended to October. The scheme changes from 1st July as it can be used in a more flexible way for employers furloughing staff.

Paying sick pay – The Coronavirus Statutory Sick Pay Rebate Scheme will repay employers the Statutory sick pay paid to current or former employees if eligible.

Paying your tax bill – HMRC have provided cash flow support by deferring VAT payments, deferral of self-assessment payments on account and having a specific helpline to discuss a plan if you can’t pay any type of taxes currently due to Coronavirus.

Business Rates Relief and grant funds – We hope if you are eligible you have had business rates relief or received a grant, but ensure you check this out on the gov website if you haven’t yet.

Support for the Self Employed – There is a checker online to determine if you are eligible for the Self Employed Income Support Scheme, which the chancellor has announced has been extended and a second grant will be available in August 2020. If you are eligible and need to apply for the first grant, you must make your claim on or before the 13th July 2020.

Support Loans – There are a variety of loan schemes available, the bounce back loan has been made available for small businesses to access the funding they need during this difficult time.

Specifically in Wales businesses can now find out if they are eligible to apply for financial support from the next phase of the Welsh Government’s Economic Resilience Fund (ERF). The online eligibility checker has reopened and businesses will be able to make applications for support from this phase of the fund from 29th June 2020.

The ERF is designed to support businesses, social enterprises and charities, which are not eligible for other Welsh Government and UK Government support schemes. The next phase of the fund will enable businesses to access a further £100m of financial support. It is being targeted at microbusinesses, SMEs and large businesses of critical economic importance, which have yet to receive financial assistance from the ERF.

This latest phase will operate in broadly the same way as the first phase but with an update to the eligibility of the micro scheme. This will enable limited companies to access the fund, subject to meeting two of the three criteria below:

  • Are VAT registered or exempt
  • Employing people using PAYE
  • Must have a turnover of at least £50,00

Allchurch & Co – Chartered Accountants

www.allchurchco.com / 07825 232218

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